On Wednesday, April 29, Bitcoin put up a stunning rally to cross the $9K price level, going as high as $9,479. Needless to say, other altcoins joined the uptrend and posted significant gains of their own, with Ethereum going above $220 for the first time since March while XRP broke through $0.220. However, these coins are now battling stiff resistance at key price levels.
Wednesday’s Bitcoin bull run saw the number one cryptocurrency surge from $7,700 to $9,400. By the next day, however, it started a downside correction that saw it decline below $8,500. In that period until the time of writing, BTC has struggled to break the $8900 and $9,000 key resistance levels. Bitcoin is currently changing hands at the $8,700 to $8850 range.
If the sell-off continues in the short-term, the market may retrace all the way back to the $8400 support. However, a fresh rally could see BTC retest $9,500 and possibly establish a new 2020 Q2 high.
Altcoins still Following Bitcoin’s Momentum
In the same vein, most other altcoins saw their prices rise and then enter a downtrend correction and settle below key resistance levels. As BTC attempts to break through to higher price levels, major altcoins are also posting small gains as they build towards a new rally.
Ethereum recovered from a price drop from $227 to $201 and has since gained around 1% in the last 24 hours. It is currently trading at the $209 to $215 range. XRP, on the other hand, had risen past $0.236 before sliding down below $0.210. At the time of writing, XRP is trading between $0.213 and 0.219.
Fresh off its recent halving, Bitcoin Cash surged past $275 on April 30 before a downside correction took its price down to the $245 region. It is currently trading at the $250 to $260 level. Bitcoin SV has posted gains of over 2.49% in the last 24 hours, while Litecoin is up by 0.91% over the last couple of sessions.
The crypto market cap looks to be on the rise as well, though it remains to be seen if this will hold true after the weekend.
Market Sentiment still Bullish
Despite the recent price slumps across the board, Bitcoin enthusiasts still believe the market is in an uptrend as the halving draws ever closer. Crypto analyst, Michael Van De Poppe believes volatility will probably drop down a bit over the coming days.
“Could still a few $100 swings, but slowly decreasing. Range supports: $8,200 / $8,375-8,425 Range resistances; $9,000-9,100 / $9,300-9,400. Pretty nice playing field.” He recently tweeted.
Morgan Creek Digital Co-Founder, Anthony Pompliano believes this recent slide was merely to rattle hodlers and shake out weak hands,
“Bitcoin shook out the weak hands of Wall Street right before the halving. You couldn’t write a better script.” He said.
Overall, it seems the market is reacting favorably to these price movements as the Fear and Greed Index shows a healthy 40 rating as opposed to the 26 where it was at on April 29.